atans1

Lawrence Wong: a PM-in-waiting

In Uncategorized on 09/03/2018 at 11:12 am

I’m surprised that the talk cock, sing song academics and other pundit don’t think of Lawrence Wong as a contender to be PM.

Because unlike their favourite, Kee Chui (Why “Kee Chiu” got renamed “Kee Chui”), he knows how to throw smoke when “answering” inconvenient questions

The entire additional S$7.7 billion above the official estimate is being given back to Singaporeans in various ways, instead of just the S$700 million SG bonus, Mr Wong stressed, as he addressed Nominated Member of Parliament (NMP) Azmoon Ahmad’s suggestion for the Government to share more of the unexpected budget surplus.

“We don’t save surpluses.”

I went WTF!

But I had to admire his explanation (OK BS).

“We give them all back to Singaporeans but we give back in different forms,” said Mr Wong in Parliament on Tuesday (Mar 6) during the debate on his ministry’s budget.

“Some will be for spending (on) future needs. Some will be spending for current needs… and some will be through a direct transfer, like the SG bonus,” he added, urging for the surplus to be viewed “in totality”.

Mr Wong cited the setting aside of S$5 billion for a Rail Infrastructure Fund “which will benefit all MRT commuters”, and S$2 billion for premium subsidies and other forms of support when the ElderShield review is complete.

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Why Lawrence Wong is wrong on “We don’t save surpluses”
Or rather “We don’t save surpluses” is misleading.
FB post by Chris Kuan

CNA reported Larry the MND and the second MOF as saying all of the $7.7b of additional surplus from the revised 2017 budget overall surplus has been shared with Singaporeans in various ways such as a $5b transfer to the Rail Infrastructure Fund and $2b for Eldershield. Don’t look at the SG bonus in isolation he said. But that is not quite correct, is it? Tell me if I am wrong but this is how I look at it.

If that $7.7b additional surplus had been shared in the 2018 budget, then the 2018 Budget position would not have been a deficit of $0.6b but of $8.3b. After all each Financial Year Budget is based on that FY’s revenues and expenditures plus that FY’s transfers to funds and endowments and its NIR Contribution right? If the $7.7b has been shared with Singaporeans, then the sum of the Budget position for 2017 and 2018 should equal to the original FY 2017 estimate surplus of $1.9b. But that is not the case, the sum is a surplus of $9b (2017’s $9.6b surplus minus 2018’s $0.6b deficit). So how can this be if the $7.7b surplus from the first year is spent or shared in the second year?

The better explanation or rather the truth of the matter may well be that the $7,7b additional surplus has not yet been shared with Singaporeans, It will eventually – just wait for the year before the general election. Of course in fairness to Larry the MND and the 2nd MOF, all that spending on rail infrastructure and Eldershield in 2018 did take place but that is from using up all the revenues and the NIR contributions estimated for the year. Call me pedantic or whatever.

PS: Being transfers to funds and endowments, the $5b allocated to rail and $2b to Edlershield are ofcos not spent all at once but over several years. An important distinction to be aware of given the govie’s propensity to report this kind of expenditures in a single year.

But the fact that Chris Kuan has to go into such detail to show that “We don’t save surpluses” is misleading. shows that Lawrence Wong is a throw smoke specialist, good enough to be PM after Heng’s one term in that post. You heard these predictions here first.

And here’s another one: he’ll be the next Finance Minister. Remember you first heard this here.

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Coming back to Kee Chui. If Lawrence has to answer the questions on the need, and the use of reserves, unlike Kee Chui, he would have said something along the lines of what the CEO of Norwaty’s SWF said when he reported a great set of results*
stressed that the good times would not continue forever, warning Norwegians to be prepared for a potential fall in value in the future.
Btw, remember his warning on HDB flats? Why 30-year old HDB flats difficult to sell
 ————————————————
*The oil fund separately reported one of the best years in its 20-year history as it returned 13.7 per cent in 2017, helped by booming equity markets. Equities returned almost 20 per cent, while property and bonds also contributed positively. The NKr1tn ($128bn) return was the biggest ever measured in kroner.
FT
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  1. My 1st tots upon smelling LW’s smoke was thinking that sinkies actually haven’t been paying any taxes at all …. coz all have been returned to us … roads, law & order, prostitute times, GLCs, mrt, hdb, hospitals, etc.

    Yes, even the multi-million dollar salaries paid to ministers from taxpayers have been returned back to the people by their self-sacrificing 24/7 hardwork & walkabouts to come up with world class policies & strategies. So they’ve actually been working for free…

  2. obviously, the government is constantly spending money; so if I have 7B now and next year I spend 100B, then the 7B would get spent in the first month; however, in the same time I might get 107B, so next year there is a combined surplus of 14B over two years

    in other words, while it is true I dont keep the current surplus, the real issue is whether there will be a bigger surplus later; if the total surplus keeps growing, then the surplus is not being spent

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